Has anyone out there looked at hot tubs or swim spas at consumers shows where it seem stands are run by competition companies only to find out that all the stands are owned and operated by the same company creating a phoney trading environment with false “show” deals and the impression that there is competition at the show when in fact all the sales people are working together for the same company to mislead and rip off buyers.
Category Archives: Newsflash
New! Twilight Hot Tub 67.15 & TS 67.25
Twilight Spas is excited to announce the latest addition to the Twilight Series Spas with the introduction of the TS 67.15 and TS 67.25.
These new, 4 person models are now available for ordering and pricing will follow shortly.
Featuring the modern, stylish curves the Twilight Series has become known for these models will be ideal for the small family or empty
nesters looking for some more space with its open 4 corner seating design.
Standard with the Orion Light Systemand Eco Pur filtration, this model is also a low enough profile to fit through many doorways.
The TS 67.15 features 1 No 2 spd pump and 20 therapy jets including a foot jet. The TS 67.25 features 28 jets including a Master Blaster Foot
Massage Jet and 1 2spd pump & 1 Single spd pump.
Both models can be ordered with the optional Fusion Sound System while the TS 67.25 can be ordered with the optional AfterGlo Jet Package
and the Quiet Flo Circulation System.
Spa Retailers Required to Stop Making False ENERGY STAR Claims
OTTAWA, ONTARIO–(Marketwire – Jan. 17, 2011) - The Competition Bureau announced today that, as a result of its successful enforcement action, two additional spa retailers must cease making misleading representations that incorrectly conveyed the impression that their hot tubs or insulation met the criteria of the ENERGY STAR Program.
Under the terms of a consent agreement filed today with the Competition Tribunal, which has the force of a Tribunal order, “EcoSmart Spas” and “Dynasty Spas”, as well as a director of both retailers, Brent Marsall, have agreed to cease making misleading representations and to pay an administrative monetary penalty of $130,000. Corrective notices will also be published in all stores, and on their Web site, to inform customers of the misleading representations. In addition, a corporate compliance program will be developed and implemented for both retailers.
“I am pleased that our enforcement action has been successful,” said Melanie Aitken, Commissioner of Competition. ”Canadians seeking energy efficient and environmentally friendly products depend on businesses to ensure that the claims being made about their products are truthful and accurate. Companies that make false representations inhibit consumers’ ability to make informed purchasing decisions and put rival companies at a competitive disadvantage.”
On June 29, 2010, the Bureau announced that it had filed an application with the Competition Tribunal seeking to prohibit Mr. Marsall and his companies from making claims that the products were eligible for ENERGY STAR certification. The ENERGY STAR Program is an international standard for energy efficient and environmentally friendly consumer products. No hot tubs, spas, or insulation products for sale in Canada are eligible for certification by, or in association with, the ENERGY STAR Program.
Since announcing a crackdown on unsupported energy savings claims in June 2009, the Bureau has reached agreements with all Canadian hot tub and spa retailers identified as having made similar false or misleading claims, except EcoSmart Spas and Dynasty Spas. The Bureau was forced to start enforcement action against Mr. Marsall, EcoSmart Spas and Dynasty Spas. The consent agreement resolves the matter with respect to these final violations.
Canadian and American government agencies cooperated in the Bureau’s investigation. This includes the United States Environmental Protection Agency, which owns and manages the ENERGY STAR Program, and the Office of Energy Efficiency of Natural Resources Canada, which administers the program in Canada.
In June 2008, the Competition Bureau and the Canadian Standards Association (CSA) jointly published enforcement guidelines, entitled “Environmental Claims: A Guide for Industry and Advertisers“. The guidelines provide the business community with the necessary tools to ensure that environmental marketing is not misleading, while providing consumers with greater assurance about the accuracy of environmental claims.
The EcoSmart Spas and Dynasty Spas retailers that made the misleading claims operate in the Calgary and Red Deer area.
The Competition Bureau, as an independent law enforcement agency, ensures that Canadian businesses and consumers prosper in a competitive and innovative marketplace.
See also:
-Competition Bureau Takes Action Against Spa Retailers For False Energy Efficiency Claims (July 2010)
-Competition Bureau Reaches Further Agreements with Hot Tub Retailers on Unsupported Claims(January 2010)
-Competition Bureau Cracks Down on Unsupported Energy Savings Claims (June 2009)
-Information on ENERGY STAR Qualified Products or Equipment (Natural Resources Canada)
Spa Manufacturer Liquidates Equipment
A well-known spa maker and retailer has been quietly closing down a significant portion of its manufacturing operations.
Leisure Bay Industries Inc. placed its vacuum spa molds and various factory-related equipment up for auction in early December. It shares an Orlando-area manufacturing facility with Dream Maker Spas — and both are brands of Recreational Warehouse, a Florida-based company that produces and retails a number of spa and pool products.
“I got a flier in the mail, saying [Leisure Bay] was auctioning off its vacuum-molding machines,” said Bruce Rothschild, owner/president of Your Backyard Superstore Inc. in Melbourne. Fla. “I went to the Website where they were holding the auction, and saw they were selling not only all the vacuums and forming pieces, but forklifts, racks, tools — everything.”
The corporate offices of Leisure Bay and Rec Warehouse were not answering calls at press time, but multiple sources close to the companies have confirmed that Leisure Bay is pulling out of the vacuum-molded spa manufacturing business “for financial reasons.”
In addition to liquidating that warehouse’s vacuum-molding equipment, Leisure Bay has been shuttering a number of its retail locations, according to sources familiar with the firm.
The Rec Warehouse story began in 1974, when it was founded by Don and Gary Doebler in a suburb of Buffalo, N.Y. It expanded across the United States with a series of retail stores, which were known throughout the country — particularly on the East Coast — for offering pool and patio products at low cost. Along the way, Rec Warehouse acquired the Leisure Bay and Dream Maker brands, both of which were known for producing lower-cost hot tubs.
Though vacuum-molded spas will no longer be manufactured under the Leisure Bay brand, sources in contact with the firm have stated that Dream Maker will produce rotomold spas.
While vacuum-molded spas are made by heating and molding a sheet of acrylic, rotomold hot tubs are created by melting plastic beads in a spinning chamber, then allowing the plastic to cool, and removing the resulting shape. These units are typically produced and sold at lower cost than vacuum-molded models.
Rec Warehouse continues to sell a variety of products through multibrand retail stores. The company also is taking on some import business, according to retailers in touch with its representative network.
“From what I understand, what is now on their [warehouse] floor is mainly spas made by another company,” Rothschild said. “They’re bringing them in, last I heard, from Canada.”
Spa Manufacturer Shuts Its Doors
The small, regional business was based in Anderson, Calif., about 100 miles north of Sacramento.
“They were a great company to deal with, and their product was top notch,” said Warren Kayser, owner of Warren’s Expert Spa Repair in Chico, Calif., a Phoenix dealer for more than 12 years. “I’m really sorry to hear they’re going away.”
While the company has not formally announced the closing, and was not answering calls at press time, sources close to the leadership at Phoenix have confirmed that the shutdown is official.
The manufacturer now is working to ensure that customers who still have a year or two left on their warranty will remain covered, according to Phoenix dealers.
“They’re being very professional about it,” said Khasha Mekanik, owner of Black Pine Spas in Lynnwood, Wash., a former Phoenix dealer who continues to perform warranty work on its products.
Mekanik explained that Phoenix staff has put his company in touch with the original equipment manufacturers that provided parts to Phoenix, so he and his team can maintain coverage for those customers who still have a few years left on their warranties. “In terms of taking care of loose ends, I think they’re handling it the right way,” he said.
Phoenix was founded by husband-and-wife team Rob and Pam King in 1983. With Rob as president and Pam working as CFO, the company remained family-owned and operated as it expanded its network of dealers, mostly in the Pacific Northwest.
“I really liked the fact that they were local, and oriented toward local dealers,” said Chris Blackburn, owner of Mountain Pool & Spa in Willow Creek, Calif. “It only took a few hours’ driving for me to get out to their offices and talk with them in person.”
Blackburn adds that Phoenix geared its sales policies toward small dealers like him: “They didn’t have any purchase minimums, so I could buy as many or as few spas as I wanted from them.”
Though most major hot tub manufacturers have stayed afloat through the current recession, many smaller spa companies were hit particularly hard last year.
“Quite a few [spa] manufacturers and retailers have closed their doors,” said Sony Banga, vice president of sales at Strong Pools and Spas in Northumberland, Pa. “I think it’s going to take some time for us to bounce back.”